Reviewing EHang (NASDAQ:EH) & Moog (NYSE:MOG.B)

Moog (NYSE:MOG.B) and EHang (NASDAQ:EH) are both aerospace companies, but which is the superior business? We will contrast the two companies based on the strength of their analyst recommendations, valuation, earnings, profitability, institutional ownership, risk and dividends.

Insider and Institutional Ownership

8.1% of Moog shares are owned by institutional investors. Comparatively, 94.0% of EHang shares are owned by institutional investors. 2.4% of Moog shares are owned by company insiders. Comparatively, 39.6% of EHang shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for Moog and EHang, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Moog	0	0	0	0	0.00
EHang	1	1	6	1	2.78

EHang has a consensus price target of $23.48, suggesting a potential upside of 71.51%. Given EHang’s stronger consensus rating and higher possible upside, analysts plainly believe EHang is more favorable than Moog.

Profitability

This table compares Moog and EHang’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Moog	6.03%	14.59%	6.38%
EHang	-67.07%	-27.80%	-15.90%

Risk & Volatility

Moog has a beta of 0.7, suggesting that its stock price is 30% less volatile than the S&P 500. Comparatively, EHang has a beta of 0.56, suggesting that its stock price is 44% less volatile than the S&P 500.

Earnings and Valuation

This table compares Moog and EHang”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Moog	$3.86 billion	2.05	$235.03 million	$6.59	38.00
EHang	$62.49 million	15.75	-$31.48 million	($0.56)	-24.45

Moog has higher revenue and earnings than EHang. EHang is trading at a lower price-to-earnings ratio than Moog, indicating that it is currently the more affordable of the two stocks.

Summary

Moog beats EHang on 8 of the 15 factors compared between the two stocks.

About Moog

Moog Inc. designs, manufactures, and integrates precision motion and fluid controls and systems for original equipment manufacturers and end users in the aerospace, defense, and industrial markets worldwide. The company's Aircrafts Controls segment offers primary and secondary flight controls for military and commercial aircrafts; aftermarket support services; and ground-based navigation aids. Its Space and Defense Controls segment provides controls for satellites, space vehicles, launch vehicles, armored combat vehicles, tactical and strategic missiles, security and surveillance, and other defense applications; and gun aiming, stabilization, and automatic ammunition loading for armored combat vehicles. This segment also offers steering tactical and strategic missiles; and designs, builds, and integrates weapon stores management systems for light attack aerial reconnaissance, ground, and sea platforms. The company's Industrial Systems segment provides systems for applications in injection and blow molding machinery, metal forming presses, and heavy industry customers in steel and aluminum production; and supplies solutions for power generation applications, electromechanical motion simulation bases, medical training simulators, and custom test systems and controls. This segment also offers systems and components for applications in oil and gas exploration and production; components for wind turbine applications; and components and systems for diagnostic imaging CT scan medical equipment, sleep apnea equipment, oxygen concentrators, infusion therapy, and enteral clinical nutrition. The company was founded in 1951 and is headquartered in East Aurora, New York.

About EHang

EHang Holdings Limited operates as an autonomous aerial vehicle (AAV) technology platform company in the People's Republic of China, East Asia, West Asia, Europe, and internationally. It designs, develops, manufactures, sells, and operates AAVs, as well as their supporting systems and infrastructure for various industries and applications, including passenger transportation, logistics, smart city management, and aerial media solutions. The company was incorporated in 2014 and is headquartered in Guangzhou, the People's Republic of China.